Privatization and Investments
Together for the Development of Bjelasica
The Ministry of Sustainable Development and Tourism and the Ministry of Finance, together
with the municipalities Kolašin, Andrijevica, Mojkovac, Berane and Plav, will exchange
development plans for the region of Bjelasica and Komovi. The plans could then soon be
passed on to the Government for adoption.
Within the next few weeks, a proposal for development will be prepared and coordinated by
government and municipality representatives. By forming one single company or similar type
of organization, will enable more efficient and qualitative contact with investors.

Montenegro Plans to Issue Eurobonds in the First
Half of the Year
Montenegro plans to issue
a new set of Eurobonds
during the first half of
2011. This follows last
year’s successful initial
placement of €200 million
($266 million) debt paper
– announced Finance
Minister Milorad Katnić.
The country budget for this
year allows for borrowing
of up to €180 million, while an additional €53 has been foreseen
for infrastructure projects. The preparation phase for the issue of
Eurobonds has already started and the government is now in the
process of selecting financial institutions to act as advisors in the
process. The issue of Eurobonds has several positive elements.
Firstly, the country is presented to a great number of investors
through the process.

A Renewable Energy System Around the
Globe by 2050
The Energy Report that
was published by Ecofys,
WWF and AMO is a
comprehensive
study
claiming that the world
can be 100% reliant on
renewable
energy
by
2050. It demonstrates
the feasibility of such
ambitions across the whole
planet.A fully sustainable
and renewable global energy
system is possible by 2050. The report proposes to address the
urgent problems caused by looming climate change.
The world’s energy needs could be met entirely by renewable
sources. For several reasons, the world will need an adapted
energy system to accommodate its growing population. Climate
change, depletion of natural resources and a growing dependence
on only a few energy suppliers are a threat to our current system.
Renewable sources such as solar energy, wind, hydro and bioenergy are necessary for a sustainable balance.
Source: http://www.mipa.co.me.

6

IFC Helps Finance Highway Bypass in Podgorica
IFC, a member of the
World Bank Group, is
lending about €10 million
to Montenegro’s capital
city, Podgorica, to help
complete a bypass highway
that will eliminate traffic
bottlenecks on the road
leading to the Adriatic
Sea. The new highway
will enable easier access
by tourists to the Adriatic
coast, and will contribute to the country’s reintegration into
international trade networks. The total cost of the project is
about €30 million. IFC’s long-term financing reflects its strategic
focus on enabling investment in municipal infrastructure within
the region. The European Union has recognized the project as a
regional priority and has provided a grant of €4 million for its
completion. Podgorica is the capital of Montenegro and also its
largest city. It has a population of around 200,000. Podgorica
is also the administrative, financial, telecommunications, and
university center of the country. It has a strong economic base
focused on the aluminum, construction, and tourism sector.

EBRD lends Montenegro €35 million to Upgrade
Power Network
The
European
Bank
for Reconstruction and
Development has said that
it will lend Montenegro
€35 million ($46.7 million)
to upgrade its power
distribution
network.
Montenegro’s
power
company, Elektroprivreda
Crne Gore AD (EPCG),
is 43.7 percent owned by
the Italian company A2A. It
will use the money it receives to buy and install 175,000 “smart
electricity meters throughout the grid.” EPCG, whose share
majority is owned by the government, is struggling with a high
level of losses in the distribution network and a low collection
rate.” New meters will mark the start of the transformation of
EPCG’s network into a modern, smart power grid which will lead
to the reduction of CO2 emissions by approximately 88,000 tons
a year.